Last week, my Rotary Club kicked out our President and replaced him with a new one. It’s our annual “Installation-Outstallation” ceremony. Rotary Clubs around the world are all doing the same thing as our official new year starts July 1st. It’s a time to honor (and at least in our case “roast” a little) the outgoing leader and welcome in the new one.Transition in leadership is nothing new in Rotary Clubs or democratic governments. They are part of the system and process of running organizations and countries. There is a plan for all contingencies, ranging from death, disability, and resignation.
Curiously, many small and even medium-sized businesses don’t have as strong of a plan to deal with a sudden transition in leadership. The reason is pretty obvious – business leaders don’t have “term limits.” Unlike my Rotary Club, the President or CEO is normally the founder and face of the organization. The loss of this leader – whether it be due to retirement or sudden inability to lead – can create a major crisis in the company. All good Business Continuity Plans must include what to do when a “Leader-Shift” occurs; especially if it’s unplanned.
If you’re the CEO or President of your company, is your team prepared to keep the business operating with no hiccups if you’re no longer there? How do you know? Are your loved ones taken care of financially?
If you’re part of a leadership team or a key employee of a company, do you know what the plan is if your boss no longer can lead? Does that make you nervous for your future?
Your assignment this week is to look at your own plan for leadership transition. How well is articulated and communicated is it? Will your legacy continue and will your loved ones be financially secure? Or will an unexpected calamity sink the ship? Take one step toward improving your Business Succession Plan. If you need help, call me. Your company and your loved ones will have greater peace of mind.
BONUS: If you don’t own a business and think this missive doesn’t apply to you, think again. When was the last time you updated your will? How about the last time you reviewed your life and disability insurance? How confident are that your loved ones will be financially secure if something happens to you? Leadership happens at many different levels, both professionally and personally. Make sure you are secure in both.
Quote of the Day:
“Nothing is work unless you’d rather be doing something else.”
~ George Halas, 20th century Hall of Fame owner and coach of the Chicago Bears
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